Litecoin vs. Bitcoin: What are the Main Differences?

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Whether you’re new to the world of cryptocurrency, or you’re just looking to find out as much as you can about the most popular forms of it, this article can help. Even if you’re a seasoned investor, knowing the differences between different types of cryptocurrencies when you’re unsure how they operate, can help you make a far more informed decision.

Bitcoin is, of course, the most popular cryptocurrency on the market. It paved the way for altcoins, or alternative coins, to be as successful as they are, and turned everyday grocery store workers into millionaires. When the time has come for you to experience some of that wealth, find out as much as you can. Knowing the differences between Litecoin and Bitcoin before you make your investment can be all it takes to see on your way to a more lucrative future.

Firstly, we’ll discuss what Litecoin and Bitcoin are, followed by what Bitcoin mining and Litecoin mining is, and how the Bitcoin value and Litecoin value are currently sitting on the market, as of December 2017. Read on to become fully informed.

What is Bitcoin?

Bitcoin hit the market by storm in 2009, in what was otherwise a very ordinary year. It came to be known as the first decentralized currency, which means it has no authoritative force dictating its worth or taking some of its value away. All in all, it’s a peer-to-peer currency that’s recorded in a public ledger known as a blockchain, and can be used to make purchases with over 100,000 merchants worldwide.

The Bitcoin is also made up of smaller currencies, similar to what you expect with standard money. While we have dollars and cents here in Canada, Bitcoins are made up of one Bitcoin, followed by millibitcoin – equal to 1/1000 of a Bitcoin, and Satoshi, 1/100,000,000 of a Bitcoin.

What is Litecoin?

Litecoin is very similar to Bitcoin, in fact, it’s bordering on identical. It’s a form of peer-to-peer currency and open source software that was created by former Google employee Charlie Lee, and released to the public in 2011. It is known as one of the top five cryptocurrencies on the market and is also popular for its lightning fast transactions which can take place in as little as a second. While it’s not as well known as Bitcoin, it’s only a matter of time before it catches up and becomes just as popular and as heavily invested in as Bitcoin is.

What is Bitcoin mining?

To the average newspaper reader, the entire concept of “mining” for Bitcoins can seem strange. In fact, it might even come across as something akin to a video game. However, it takes someone heavily involved in the computer scene to understand completely, and take part in, Bitcoin mining. The process of mining also enables new Bitcoins to be added to the marketplace. Bitcoin mining, if the phrase is unfamiliar to you, is the process of verifying and adding transactions to the blockchain, or public ledger. It’s a complex process of gathering all recent transactions into “blocks” and solving them in a challenging puzzle.

What is Litecoin mining?

Similar to Bitcoin mining, Litecoin mining is completed by people who have specialized computers and hardware. The process is undertaken to not only secure the network and verify the thousands of transactions per day but to release new Litecoins, as a reward, to the miners.

How much are Bitcoins worth?

If you have been following the news – both online and in newspapers – you will have seen just how much the Bitcoin value has increased by in such a short space of time. When it first hit the market all those years ago, it was worth a mere 0.30 cents. If you didn’t invest then, you’d be kicking yourself now, as the current exchange BTC to CAD rate, as of December 13, 2017, is 22910.46 Canadian Dollars. In a matter of days, it has been increasing in $1,000 increments, if not more.

However, it’s important to note that while, at this current point in time, Bitcoin’s value is rising at an exponential rate, it’s an exceptionally volatile investment. It can drop as quickly as it grows, making it impossible to forecast how lucrative your investment will be.

How much are Litecoins worth?

Litecoin has seen significant growth since it first hit the market in 2011, albeit not as much as Bitcoin. However, that’s not to say the Litecoin value will not increase dramatically, but it may do so at a far slower pace. You can see Litecoin to Cad prices at CoinSquare. The price is right, so why not try your luck and purchase a coin before the value increases? While you might be playing the long game, you can’t win if you’re not in.

It’s hard to believe that a currency we cannot see or touch can be worth so much to the everyday person. If you were smart enough to try your luck at buying Bitcoin back in 2009, you would now be sitting pretty on millions of dollars. While it might seem like that ship has sailed, there’s still no time like the present to become a cryptocurrency investor. Who knows what the future will bring?